Nokia bags $1.76 billion deal with China PTAC
Nokia signed a 2009 framework deal on Monday worth USD 1.76 billion with China PTAC, the top phone distributor in China, to supply handsets in the country. However the value of the deal between the two declined from the previous year’s figures of USD 2 billion. The deal last year was valued at USD 2.5 billion.
According to Nokia’s official statement, “In addition, both parties have agreed to expand strategic ties, especially with regard to 3G and operator business.”
Nokia had, in the first half of the month of March, announced the company’s plans to cut 1,700 jobs globally by scaling back sales, marketing and some technology functions in an effort to cope up with the falling global demand.
“Nokia continues to seek savings in operational expenses, looking at all areas and activities across the company,” Nokia said in a statement.
In January, Nokia said that it would slash its dividend for the first time in seven years. The company also forecasted a huge 10 per cent slide in industry sales amidst recession and crashing global demand.
